Transport Minister Bode: TAROM airline can be saved, its fleet capable of ensuring a financial flow

TAROM airline will be saved because it has a fleet capable of providing a financial flow, but it needs restructuring, the Minister of Transport, Lucian Bode, told Realitatea Plus private television broadcaster on Monday evening.

"TAROM will be rescued. TAROM currently has a fleet of aircraft capable of providing a financial flow so that the company can be rescued. But not without a restructuring. And I am not talking about just a staff restructuring, I'm talking about other costs that need to be eliminated, fuels, agencies, domestic, international ... there are many measures that we will take according to a restructuring plan approved today in the Board of Directors," Bode told Realitatea Plus.

He recalled that in February TAROM received an aid worth 37 million euros, which would be converted into restructuring aid when the restructuring plan will be sent to the European Commission.

"I notified the Commission. With the approval of the Commission, we requested state guarantees, offered by the Ministry of Public Finance, for 65 million euros. These are the losses that we estimated will accumulate during this period affected by the pandemic. During this period the flights "were reduced by over 90-95 per cent. And this is not the fault of TAROM and of any other airline that was forced to keep its planes on the ground," explained the Minister.

He expressed confidence in the company's new management that it would implement the restructuring plan and obtain funding by the end of the year.

"In January 2021 they have to draw this money, to use it wisely, so that, by selling the 9 old ATR aircraft for around 32 million dollars, and adding this money too, we will be able to save the company," said Bode.

The Minister of Transport stressed that the solution for the company is a professional management and mentioned that the Executive has started this procedure for several companies, including the Bucharest Airports National Company, where the final selection procedure of the administrator takes place and will follow the one for the general manager.

"The same will happen at TAROM. But now we don't have time to wait for all these procedures to unfold. We have to save the TAROM company today because tomorrow will be too late," said Lucian Bode.